Geografie 2008, 113, 1-19

Risk of gelocalization of manufacturing industry in Czechia: Regional aspects

Jan Ženka

Katedra sociální geografie a regionálního rozvoje, Přírodovědecká fakulta UK, Albertov 6, 128 43 Praha 2, Czechia

This paper examines international relocation determinants of Czech manufacturing companies in order to estimate the probability of potential delocalizations. The research is based on statistical evaluation of "internal keep-factors" (particular company features strengthening the location inertia of manufacturing), which are divided into three main groups - capital intensity, complexity of value chain and business sophistication. Keep-factors, represented by six financial indicators, were examined on the company level. The sample covers 692 Czech manufacturing companies (foreign owned) with one hundred or more employees. The main goal is to identify regions threatened by delocalization, which is caused by high-level concentration of "footloose" companies.